Beeswap, a NFT-DAO DeFi Application Based on HECO
Judy_Host of EncryptClub: New year, new outlook. 2021 happens to be the year of ox/bull, we wish you a happy and bullish year. The 7*24 crypto trading keeps us busy during the Spring Festival, but pocketing a lot is undoubtedly the favorite celebration for crypto enthusiasts. As a major project on Huobi Ecosystem Chain, BeeSwap really deserves our attention. Today we are honored to have BeeSwap’s Global Community Partner, Kennedy with us to give us an introduction of BeeSwap.
Welcome to EncryptClub and thank for coming, Kennedy. Could you give us a self-introduction?
Kennedy: Good evening, everyone. I am Kennedy, a partner of BeeSwap. It is my pleasure to meet you all here. I wish you Happy Chinese Near Year and a bullish 2021.
Thanks for your introduction. Here comes the first question of EncryptClub & BeeSwap AMA.
1、May I know why you name your project BeeSwap? What expectation does this name contain? Could you introduce your project?
Kennedy: Sure. The inspiration for our project name comes from the bees.
Firstly, in terms of values, the bees is an altruistic organization: they produce honey for others instead of themselves. As a decentralized organization, we naturally hope to build the same community values as the bees. The core participant of the blockchain is DAO, while the bees is the best DAO in the nature.
In terms of ecosystem, the bees has a very healthy ecology where each type of bees performs its own duties and develops in coordination to ensure a sustainable prosperity.
In terms of output, the bees not only meets the needs of self and the interests of the community, but also creates more surplus value that is higher than the needs of its species: honey. We also hope to provide our value to the entire industry.
Simple put, BeeSwap is a NFT-DAO DeFi application based on HECO, it introduces NFT attributes into community governance to help users capture higher ecological value and create a high-cohesive community consensus. Besides obtaining strategic investment from numerous leading institutions, BeeSwap is also one of the five projects that won the title of “Golden Medal Creator” among the 86 projects in the first phase of Huobi Eco Chain Creator Plan.
Q2: DAO plays a pivotal role in blockchain finance, what do you think of DAO and what is the difference between BeeSwap’s DAO and other DAOs?
Shoucheng Zhang, a professor at Stanford University, once put forward a viewpoint that code is law, in math we trust, which summarizes the very characteristics of DAO. With some open and fair algorithms, Blockchain DAO system allows for autonomous operation through programs without third-party intervention and management . These rules often appear in the form of open source codes (the so-called smart contracts). Different autonomous governance systems will give rise to different consensuses, which finally affect the value of the entire ecology.
BeeSwap thinks that the bees’ organization is such a DAO, it does not have an clearly visible organization structure, but every bee performs its own duty according to the codes written in its genes to produce honey and create value. What makes BeeSwap DAO set apart from other DAOs is that we have put forward the concept of NFT-DAO which powers DAO by NFT and highlights the unique value of the governance system.
Q3: What benefits can be obtained by obtaining NFT and participating in the governance of DAO in Beeswap?
In traditional DAO, nodes are responsible for making proposals, it is very difficult to transfer node once it has been elected. It doesn’t have value support due to the absence of liquidity. The node in BeeSwap is the queen bee. We give the queen bee NFT value and name it NFT-QUEEN. The queen bee can be transferred freely through auctions which gives consensus support to the queen bee.
We hope that NFT can make the value of our nodes (the queen bees) to be recognized. Everyone has the chance to be a queen bee or obtain it through auction. The introduction of the auction mechanism can provide liquidity to the queen bee and allow its value to increase continuously. And the rise of the queen bee’s value will also increase the value of the bee colony which powers the value of the entire ecology. Finally, a positive cycle is formed under the guidance of the queen bee and the ecology develops and thrives endlessly.
Q4: Why did you choose to build your project on HECO (Huobi Ecological Chain)? What are the advantages of HECO in terms of DeFi combination and application scenarios?
Huobi ECO Chain (HECO) is a decentralized public chain. On top of supporting high-performance transactions (TPS up to 500+, block generation time 3s), it achieve smart contract compatibility and greatly reduces the gas fee and congestion threshold to participate in DeFi on Ethereum , being easy to use and friendly for both developers and users.
From the perspective of ecology, HECO’s mission is not only a public chain, but also focuses on discovering and supporting high-quality developers and early innovative projects. HECO Fund — a fund with a scale of $200 million that goes with Huobi ECO Chain, focuses on high-quality projects on HECO like DEX, borrowing and lending, oracles, cross-chain solutions, stable coin exchange, insurance, etc. Therefore, to achieve a better development of the BeeSwap ecosystem, we choose HECO. What is more, during our deployment on HECO, we have achieved good result in the user quantity and the transaction volume of our NFT mall. Our receiving of the “Golden Medal Creator” in the first phase of the Creators Plan is inseparable from the powerful support from HECO.
Q5: What are the future DeFi applications of Beeswap?
We have already launched our NFT blind box products and NFT mall. Users can exchange HT for blind boxes to obtain NFT-BEE which can produce BEE. The data of our NFT mall shows that till now, the total exchange times has exceeded 10w; the quantity of participating addresses has exceeded 35,000; pledge addresses 25,000+; blind box purchase addresses 15,000+; more than 130,000 HT has been exchanged in the mall and the amount keeps increasing steadily.
In addition, we will launch pledge mining pool and liquidity mining pool products on Feb 13th. Users can get BEE by pledging HT, HUSD, USDT, HBTC, ETH and BEE-HUSD, BEE-USDT. You can visit our official website https://www.beeswap.info/ to participate in the pledge.
In the future, we will launch Bee Farm. Users can participate in BeeSwap’s NFT governance and BEE production through interesting gameplay in pockets of time, which will greatly increase the community interaction and user stickiness. Moreover, our decentralized NFT auction platform is also under development, it will support the launch and the auction of more NFT products, and jointly expand the NFT ecosystem in the DeFi world in the future.
Q6: How does Beeswap’s dual-coin mechanism work? What are the roles of NFT tokens and BEE?
BeeSwap adopts a dual-coin governance structure, which is composed of DAO governance token NFT-BEE and BeeSwap ecological token BEE for DAO governance. NFT-BEE and BEE complement each other. NFT-BEE can produce BEE, and BEE can also feed NFT-BEE to produce more BEE.
NFT-BEE is governance token which is mainly used to govern the community. All NFT-BEE come from the blind boxes in the BeeSwap mall (including worker bees, drones, bumblebees, queen bees, etc.). The queen bee can make proposals by consuming BEE, and users also need BEE to vote on proposals. This BEE and NFT-BEE based NFT-DAO model governs the community, the higher the community consensus, the higher the value of BEE.
BEE is the platform token of the BeeSwap ecosystem, which can be produced through NFT-BEE pledge. BEE can also be used to feed NFT-BEE to help it produce more BEE, thereby forming a linkage with the value of BEE. In addition, BEE will be used as a hard currency in the mall to anchor the value of the blind box that produces NFT-BEE in the mall, and participate in the purchase of blind boxes in the mall.
Moreover, BEE’s extreme deflation model can also ensure the health of its economic model to a certain extent. Users’ purchase and auction in the mall, NFT-BEE feeding, bee feeding and secret feeding, and NFT-DAO community voting and other scenarios all need to use BEE, and BEE used here will cause deflation. 90% of these BEE will be sent to the black hole address for destruction, and 10% will go to the BeeSwap Governance Fund. The Fund is supervised by the community and governed by DAO to incentivize the use of fund pool. In the future, BeeSwap’s node, the queen bee will initiate proposals and the BEE holders will vote, then the fund can be used only after it passed the vote. The fund will be used for community incentives, NFT-BEE holders airdrops, and BeeSwap ecosystem construction, fully demonstrating to the concept of NFT-DAO.
Judy：Here comes free QA session, guests can choose 2 lucky question to give a brief reply.
User 1: In my opinion, NFT product cannot form a great consensus until the economy has developed to a certain stage. In the current fast-paced bull market, will the absence of short-term benefits lead to the failure of a NFT project?
Kennedy: The NFT track is currently in a sunrise period with more and more high-quality projects emerging one after another. NFT projects still have a long way to go.
The key points for the rise of DeFi are as follows: 1. The improvement of infrastructure and the availability of various functional protocols. 2. The drive of speculative demand, infrastructure supports market speculation. 3. The overall climbing of market which pushes the development of DeFi. Many infrastructures of the NFT track are still under construction, and a complete functional protocol stack and application platform have not yet been formed. Therefore, the rise of NFT track must rely on its organic combination with DeFi.
User 2: The traditional mining is infinite, but this infinite mining results in more and more circulation and no guarantee of coin value. How can BeeSwap solve this pain point?
Kennedy: BeeSwap solve this problem through the linkage between NFT bees and BEE as well as the combination of output and destruction. Imagine that NFT bees is the main way to produce BEE, while buying blind boxes consumes BEE. In addition, if NFT bees want to maintain a more stable and long-term output, they must consume BEE continuously for feeding. Users also need to pay BEE in multiple scenarios such as shopping and participating auctions in the mall, NFT-BEE feeding, bee farm feeding and secret feeding, and NFT-DAO community voting, which forms the ultimate deflation in the token model.
Judy_Host of EncryptClub: Thank Mjorn for joining our AMA and sharing so much valuable information with us. Thank you all for watching this AMA. EncryptClub will work hard and bring more wonderful content for you in future.